Chapter 2: CBBE and positioning

Question 1

What is customer based brand equity (CBBE)

Answer 1

The differential effect that brand knowledge has on customer responsde to the marketing of a brand

Question 2

What is the key to create brand equity?

Answer 2

Brand knowledge
Brand knowledge consists of brand awareness and brand image

Question 3

What is brand awareness

Answer 3

The consumer’s ability to identify the brand under different conditions

Question 4

What is brand image?

Answer 4

Consumers’ perceptions about a brand, as reflected by the brand associations held in consumer memory

Question 5

What is meant with the associative network memory model? (Keller)

Answer 5

This model views memory as a network od nodes and connecting links.
Nodes = stored information/concepts
links = the strength of the association between the nodes

Question 6

What are the compinents of brand awareness?

Answer 6

1. Brand recognition (ability to confirm prior wxposure to brand)
2. Brand recall (Ability to retrieve brand from memory when given a product category)

Question 7

What are the advantages of brand awareness?

Answer 7

1. Learning advantages (brand awareness influences formation and strength of associations that make up brand image)
2. Consideration advantages (become member of consideration set)
3. Choice advantages
   - Consumer purchase motivation
   - Consumer purchase ability
   - Consumer purchase opportunity

Question 8

Consumer purchase motivation

Answer 8

Lack of differences between brands -> leave customers unmotivated to choose

Question 9

Consumer purchase ability

Answer 9

Having the right knowledge/experience to judge product quality. Consumers will use shortcuts to make decisions

Question 10

Consumer pruchase opportunity

Answer 10

Consumers can be able to make the right decision, however sometimes they are still not able because lack of time, energy etc.

Question 11

What is the difference between brand attributes and brand benefits?

Answer 11

Brand attributes are descripitve features of a product/service
Brand benfits: personal value and meaning that consumers attach to the product attributes

Question 12

What is brand positioning?

Answer 12

Act of designing the company’s offer and image so that it occupies a distinct and valued place in the customer’s mind

Question 13

What is the difference between brand identity and brand image?

Answer 13

Identity = what brands think they are
Image = how consumers perceive brand

Question 14

What are the brand positioning steps?

Answer 14

1. Who is target group
2. Who are competitors
3. Comparison to competitors

Question 15

How do you know who is target group?

Answer 15

Segmentation - Targeting - Positioning

Criteria for target group:
- Identifiability
_ Size
- Accesibility
- Responsiveness
- Ssuatained trend or fad
- aCTIONABILITY

Question 16

What is market segmentation?

Answer 16

Divides the market into distinct groups of homogenous consumers who ahve similar needs and behavior
Can be based on:
- Behaviour
- Demographics
- Psychographics
- Geographic
- Cultural

Question 17

How do you know who your competitors are?

Answer 17

Competitors depends on the frame of reference.
Direct competitors of Fanta are other brands of orange sodam but also other beverages can be competitors of Fanta.
This also depends on consumers

Question 18

How to compare yourself to competitors?

Answer 18

Points of parity and Points of differences

Question 19

What are points of parity?

Answer 19

Attributes of product/brand that may be shared with other brands.

Question 20

What are the different type of POP’s?

Answer 20

1. category POP = necesary conditions for brand choice
2. Competitive POP = Designed to negate competitors POD
3. Correlational POP = potential negative associations that arise from more positive other associations of brand

Question 21

What are POD’s?

Answer 21

Attributes/benefits that consumers strongly assoiate with a brand.
The strong, favourable and unique brand associations for a brand

Question 22

How to chose for POP and POD?

Answer 22

What is desirable from a consumer perspective?
1. Desirability criteria
- Personaly relevant

What is desirable from a firm perspective?
2. Deliverability criteria
- Feasabile
- Communcable

3. Differentiation criteria

Question 23

What are brand mantra’s?

Answer 23

3 to 5 word phrase that captures the irrefutable essence or spirit of the brand positioning

Question 24

What are different categories of a brand mantra?

Answer 24

1. Brand function
2. Descriptive modifier
3. Emotional modifier

Question 25

When can POP/PODbe refined?

Answer 25

• Reactcing: when competitive actions threaten an existing positioning
• Laddering: Need to deepen the meaning of the brand to permit further expansion

Question 26

What are the three types of reacting?

Answer 26

1. Do nothing
2. Go on the defense
3. Go on the offensive